Good morning. The debate over automation’s effect on the job market typically centers on whether technology will create more jobs than it will destroy, whether it will make certain workers obsolete or make their roles easier or more rewarding. Such questions miss the most important point, according to Susan Lund, a principal at McKinsey Global Institute. In a new report, McKinsey argues that automation could put up to 375 million jobs, 14% percent of the global work force, at risk by 2030.

“'Will there be enough jobs?’ is not the right question,” she tells the Journal’s Lauren Weber. “The question is, what are we going to do to manage the transition for people who do lose their jobs?” The choices that policy makers and business leaders make about how to support displaced workers, invest in education and training, and fund job-creating projects in areas such as infrastructure and energy will all affect the labor market.”

Throughout history, technological change has created more work than it destroyed, but the transitions often were brutal and took time to play out. The people who suffered from the loss of work in one area weren’t always the ones rewarded with new work. The transition to new work must focus individuals in the present, not an abstract notion of society over a period of decades or centuries. Global job displacement could affect as few as 3% of workers, but that depends on how quickly companies adopt automation tools, reconcile regulatory issues, and adjust wage rates for workers, McKinsey says.

Between Amazon Web Services' annual cloud conference and a newly announced partnership between SAP SE and Microsoft Corp., it's been a big week in cloud computing. As the Journal noted about the SAP deal, such tie-ups are meant to give corporate customers comfort in shifting computing operations from their own data centers.

Large companies including Chevron Corp. and United Technologies Corp. have made commitments to public cloud in recent weeks as they look to take advantage of growing stockpiles of data generated across the business.

Global spending on public cloud services is expected to reach $304 billion in 2018, up from $257 billion this year, according to research firm Gartner Inc. Infrastructure-as-a-service spending is forecast to grow nearly 36% to $40.6 billion.

Financial data firm S&P Global is about 20% into its own shift to cloud company-wide. Companies not moving to cloud "are fighting the tide of where industry is going," CIO Krishna Nathan said in an interview earlier this month. After the multi-year move, he anticipates a 60-40 to 70-30 split between cloud and on-premise applications.

Mr. Nathan cited common reasons for shifting to cloud, such as helping the company move faster, improve security, and only pay for the resources it uses. At the same time, cloud vendors tools and services have become more sophisticated. "For me it was the maturity of the vendors," he said. "Five years ago, I think it was a different situation." Many of the newestechnologies are being built in cloud environments, and vendors increasingly are providing machine learning and artificial intelligence services, too.

More broadly, the decision to own and operate expensive infrastructure is becoming less prevalent. "If you're a little startup, no VC is going to give you a dime to go buy infrastructure." -- Steven Norton

Quantum computing goes from lab to spy thriller. Intrigued by a mention of quantum computing in classified files leaked by former NSA contractor Edward Snowden, author and journalist David Ignatius set off on a research effort that would result in “The Quantum Spy,” his latest thriller. “I felt there was a little bit of a Manhattan Project race underway between the U.S. and China to develop a quantum computer, not least because this machine has awesome intelligence capabilities,” he tells CIO Journal's Sara Castellanos.

Euroclear Names First CIO.Euroclear Group has tapped Société Générale SA’s chief information officer as its first CIO, a company spokesman confirmed Tuesday. Yves Dupuy joined the Brussels-based financial services firm last week, reporting to chief executive Lieve Mostrey, CIO Journal's Angus Loten reports. His goal is to develop a “clear strategic direction and provide strong leadership” for the across the company’s technology organization, Mr. Dupuy said in a statement.

SECURITY

The U.S. alleges that three Chinese nationals hacked into the emails of a Moody’s Analytics economist and stole confidential business information from German engineering giant Siemens. In this file photo, a paramilitary policeman watches a flag-raising ceremony at Tiananmen Square, in March 2016.

KIM KYUNG-HOON/REUTERS

Chinese firm behind alleged hacking was disbanded this month. Boyusec, a Chinese internet security firm that researchers say is behind sophisticated attacks on Western energy and defense companies, disbanded this month amid U.S. accusations that some of its shareholders were involved in hacking and theft of trade secrets. The WSJ's Josh Chin has the story.

Indictments. On Monday a U.S. Department of Justice indictment alleged that three Chinese nationals linked to Boyusec hacked into the emails of a Moody’s Analytics economist and stole confidential information from Siemens AG. Monday’s indictment is the first filed by the U.S. since 2015 when Chinese President Xi Jinping and then-U.S. President Barack Obama reached an agreement that their governments wouldn’t direct or support hacking for commercial purposes.

Links to China's intelligence apparatus. U.S.-based cybersecurity firms link Boyusec to China’s main intelligence agency and a Chinese hacking group, known as APT3 or Gothic Panda, that has targeted Western businesses, governments and defense companies by using zero-day exploits.

Army intelligence system exposed. About 100 gigabytes of data belonging to the National Security Agency and U.S. Army has been left unprotected on a public Amazon Web Services storage server, ZDNet reports. The data is related to an intelligence-sharing project named Red Disk that was intended to let Pentagon officials and deployed soldiers share information such as satellite images and video feeds, ZDNet writes, citing a Foreign Policy report.

PRIVACY

A morning commuter uses his smartphone in New York

ALEXANDER F. YUAN/ASSOCIATED PRESS

Supreme Court to weigh warrantless cellphone data searches. A pillar of modern policing will come under Supreme Court scrutiny Wednesday as the government defends its power to seize, without a search warrant, data that telecom and internet companies collect about an individual. The WSJ's Jess Bravin and Ryan Knutson report that the case involves an armed robber the Federal Bureau of Investigation nabbed after studying his movements over a 127-day span, using cellphone location records agents obtained from Sprint and MetroPCS without establishing probable cause to believe they contained criminal evidence.

STARTUPS

WeWork has announced a slew of new deals in recent months.

RICHARD B. LEVINE/ZUMA PRESS

WeWork to buy Meetup. The office-sharing, tequila-toasting startup said it is buying Meetup Inc., which helps organizations and clubs host events and grow membership. With the deal, WeWork Cos. hopes to increase its usage rate during non-working hours, the WSJ's Austen Hufford explains. In recent months, WeWork has unveiled a slew of deals and new ventures to help grow its business. WeWork recently said it would buy Lord & Taylor’s flagship New York City store for $850 million to turn it into its headquarters. The company also purchased a large stake in a maker of wave pools, launched a fitness club, bought a coding academy and announced plans for an elementary school.

Local player grabs South East Asian market from Uber. Uber Technologies Inc.'s failure to win in the region offers lessons for CEO Dara Khosrowshahi, the Journal's Newley Purnell reports. While both Uber and local player Grab Inc. offer a variety of transportation options, Grab has added locally popular vehicles such as motorcycles with covered sidecars, or three-wheeled “trikes,” that are used widely in the Philippines. And Grab appears to have a larger supply of vehicles across far more cities, which has been key to attracting users outside major metropolitan areas.

The new corporate perk: Gassing up at work. Mobile fuel services, which typically charge a little more than a gas station for the convenience, are catching on with some consumers, particularly in Silicon Valley, where companies including eBay Inc., Facebook and Oracle Corp. have hosted providers on their campuses as the latest corporate perk. The Journal's Christopher M. Matthews reports that the startups face regulatory scrutiny from fire chiefs and others as they seek to take gasoline directly to more workplaces and homes.

MORE TECHNOLOGY NEWS

Facebook is stepping up its counterterrorism activity as it and other tech firms are being buffeted on topics ranging from their treatment of smaller rivals to their role in spreading political misinformation.

THOMAS WHITE/REUTERS

Facebook’s training AI to spot ISIS—Nazis come next.Facebook Inc. says it is making big strides in tackling propaganda posts and accounts from Islamic State and al Qaeda with 99% of the content removed before being flagged by Facebook users. Now the company is working to translate some of that narrow success to a broader deluge of extremist content, including white supremacist groups’ pages as well as Islamic State videos that sport a different look to avoid the AI dragnet. The Journal's Sam Schechner and Deepa Seetharaman have the story.

Quote. “One of the dangers there is that we’re dealing with a nimble set of organizations that frequently change the way that they behave,” said Brian Fishman, lead policy manager for counterterrorism at Facebook. “We need to keep training our machines so that they stay current.”

Uber ex-employee alleges covert tactics to steal rivals’ secrets. A federal judge on Tuesday ordered a delay in the trial between Alphabet Inc.’s Waymo and Uber after he received a 27-page memo from a former Uber employee introducing new allegations about covert communications and efforts to evade detection. The Journal's Greg Bensinger has the story.

A secret group. The memo described the existence of a group devoted to unearthing trade secrets and competitive intelligence from rivals and use of devices to store information outside Uber’s servers.

Unusual in-house training. The letter also alleged that Uber trained employees in how to “impede, obstruct or influence” ongoing legal investigations, including the use of disappearing messages. According to the letter Uber sent executives to Pittsburgh, where it is developing autonomous vehicles, to “educate” employees in how “to prevent Uber’s unlawful schemes from seeing the light of day.”

Bad, bad timing. The letter comes on the heels of Uber’s disclosure last week of a year-old data breach affecting some 57 million riders and drivers.

Quote. U.S. District Judge William Alsup of San Francisco said the claims in the letter suggest Uber’s computer servers are “only for the dummies and the real stuff goes on in the shadow system.”

Maker of AutoCAD to cut jobs. Design-software provider Autodesk Inc. said it would cut 13% of its workforce in a bid to streamline the company, the Journal's Imani Moise reports. Shares in Autodesk tumbled after hours as the company revealed plans to shed 1,150 jobs and consolidate facilities.

$6.59B. Cyber Monday shoppers pointed and clicked up $6.59 billion in sales, the largest one-day U.S. total, according to Adobe Systems Inc., which analyzes activity at the 100 largest web retailers in the country, reports TechCrunch. Smartphone sales topped $2 billion, a 40% increase compared to the same day last year, Adobe estimates. Shopify Inc., which also tracks e-commerce, says the most popular items are apparel, accessories and household goods.

SpaceX raises $100 million in fresh funding. The Hawthorne, Calif.-based rocket maker was valued at about $21 billion in July after raising 350 million in a funding round, the WSJ's Tomio Geron says.

If you can’t rely on pizza, what can you rely on? That’s the question facing Domino’s Pizza Inc. as customers discover its online tracker isn’t always accurate. The tracker, launched in 2008, purports to keep customers informed of their pie’s status at each critical juncture – being made, in the oven, undergoing quality check, out for delivery – but sometimes, some customers say, the data seems made up, reports the Journal’s Katherine Bindley. One pizza lover says the tracker got the name of his delivery person wrong. Another says the tracker told her the order left the building at the wrong time. Twitter complaints about Domino’s, as well as the trackers of rivals Papa John’s International Inc. and Pizza Hut, abound. Company representatives say several factors can affect the information, including drivers swapping deliveries and plain, old human error. A Domino’s spokeswoman says, “Tracker has worked as intended for nearly a decade for millions and millions of orders.”

EVERYTHING ELSE YOU NEED TO KNOW

Pyongyang fired a new intercontinental ballistic missile into the waters off Japan, ending a more than two-month hiatus and threatening to ramp up tensions with the U.S. and in the region. (WSJ)

Opponents of the Republican tax proposal moving through Congress are focusing in part on one particular billionaire as they seek to rally Americans against it: President Donald Trump. (WSJ)

Secretary of State Rex Tillerson pushed back at criticism from lawmakers and diplomats suggesting that he is gutting the State Department. (WSJ)

The Morning Download is edited by Tom Loftus and cues up the most important news in business technology every weekday morning. You can get The Morning Download emailed to you each weekday morning by clicking http://wsj.com/TheMorningDownload.